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zysi [14]
3 years ago
9

Exercise 15-19 (LO. 3,4) Henry, a freelance driver, finds passengers using various platforms such as Uber and Grubhub. He is sin

gle and has no other sources of income. In 2018, Henry's net income from driving is $61,000. Assume Henry takes the standard deduction of $12,000 Click here to access the 2018 individual tax rate schedule to use for this problem. Compute Henry's QBI deduction and his tax liability. Bl deduction: 12,200 x Tax liability (round to the nearest dollar): 10,736X Feedback Check My Work With the reduction in the corporate income tax rate to 21 percent in 2018, Congress needed to provide a means of reducing the taxes on businesses that operate in different business forms (e.g., sole proprietors, partnerships, and S corporations). Congress accomplished this with the creation of the deduction for qualified business income (§ 199A), which applies to noncorporate taxpayers. To determine the "qualified business income deduction," one has to understand the definition of a "qualified trade or business" and "qualified business income."
Business
1 answer:
Oksi-84 [34.3K]3 years ago
5 0

Answer:

Qualified Business Income Deduction is $9,800

Tax liability = $4,564

Explanation:

Qualified business income is calculated by subtracting an individual's ordinary deduction from a qualified business or trade from the individual's ordinary income.

Net income = $61,000

Standard deduction = $12,000

Modified taxable income;

$61,000 - $12,000 = $49,000

QBI Deduction (Sec 199A) is the lesser of:

[0.2 × 49,000 < 0.2 × 61,000]

$9,800 < $12,200

Therefore Qualified Business Income Deduction is $9,800

Taxable income = $(49,000 - 9800) =$39,200

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discuss the rationale of organizing an industrial strike in resolving employee dispute with the state,focusing on the detrimenta
Gennadij [26K]

Answer: The answer is given below

Explanation:

Strike is the refusal to work which is typically organized by body of employees as a method of protesting in an attempt to get a pay rise or other concessions from the employer.

Strike can be as a result of demand for wages or salary increment, better working conditions, better treatment at workplace and non-discrimination, towards employees.

Strikes can bring about potential benefits such as better working conditions, increase in pay, improved labor productivity, increase in work morale, and lower absenteeism. Itcsn also bring about economic costs to the society. Strikes results in negative impacts on employees, employers, consumers, stakeholders, the government, and the whole economy.

During strikes, there are less goods available for consumers, decrease in revenue on the part of employers, idle employees, and the economy is also affected badly.

6 0
3 years ago
Quality Move Company made the following expenditures on one of its delivery trucks: Mar. 20. Replaced the transmission at a cost
AfilCa [17]

Answer and Explanation:

The Journal entry is shown below:-

March 20

Accumulated depreciation - Delivery Truck Dr, $1,890  

    To Cash $1,890

(Being the replacement of transmission and capitalizing the transmission cost is recorded)  

June 11

Delivery Truck Dr, $1,350  

      To Cash $1,350

(Being the installation of hydraulic lift and capitalization of installation expenses is recorded)  

November 30

Repairs and Maintenance Expense Dr, $55  

       To Cash $55

(Being the payment for changing the oil and air filter is recorded)

4 0
3 years ago
Saturday afternoon you can either attend a street festival, work and earn $100, or study for your midterm exam. You flip a coin
Alik [6]

Answer:

The opportunity cost of the time spent studying includes: 2) the benefit that could have been received at the street festival

Explanation:

The cost of opportunity is the alternative that you sacrifice when you choose an option.  It represent the <u>benefits that you misses out</u> on when choosing one alternative over another.  

In this case,  the cost of opportunity is the  benefit that could have been received at the street festival,  because that is the option you leave behind.

Earning a high score on your midterm is the product of your decision

5 0
2 years ago
The following information came from the income statement of the Wilkens Company at December 31, 2017: sales revenue $1,800,000;
andriy [413]

Answer:

Wilkens' days in inventory for 2017 = 60.833

Explanation:

Given:

Sales = $1,800,000

Beginning inventory = $160,000

Ending inventory = $240,000

Gross profit = $600,000

Inventory turnover = 6 times

Wilkens' days in inventory for 2017 = ?

Computation of Wilkens' days in inventory for 2017:

Wilkens' days in inventory for 2017 = Number of days in a year / Inventory turnover

Wilkens' days in inventory for 2017 = 365 / 6 times

Wilkens' days in inventory for 2017 = 60.833

7 0
3 years ago
The sales budget for Modesto Corp. shows that 21,900 units of Product A and 23,900 units of Product B are going to be sold for p
rewona [7]

Answer:

22,290 units

Explanation:

Product A sales (S) = 21,900 units

Product A selling price = $11.90

Product A beggining inventory (I)= 3,900

Product A ending inventory (E) = 3,900 x 1.10 = 4,290

Budgeted purchases of product A must account for all of the projected sales and the desired ending inventory, assuming that the company already has a beginning inventory at hand. Budgeted Purchases of product A are given by:

B = S+E-I\\B= 21,900+4,290-3,900\\B= 22,290\ units

6 0
3 years ago
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